German automaker BMW plans to integrate blockchain technology into its day-to-day operations and launch a blockchain loyalty program for customers in Thailand. The popular automotive brand has engaged blockchain infrastructure company Coinweb as a decentralized architecture provider and BNB Chain to process transactions.
The integration of blockchain technology into BMW’s workflow will take place in two phases. First, decentralized technology will be integrated into BMW’s day-to-day operations to automate time-consuming manual processes and streamline the company’s automotive financial services.
In the second phase of the project, Coinweb will develop a customized Web3 application for the BMW customer loyalty program. The program uses a blockchain-based rewards system to incentivize BMW customers. The status and rank of the customer in the ecosystem is determined by the loyalty rewards he receives for various actions.
Owners can use their rewards to purchase goods and services from BMW and, in the future, through an associated ecosystem. Binance’s BNB chain is used to process transactions.
Coinweb CEO Toby Gilbert explained how this loyalty program rewards customers. Customers receive rewards every time they come into contact with the BMW ecosystem, whether by “buying a new car or using a service”. He added :
“Customers are rewarded with loyalty points which they can then spend in the ecosystem. We hope to roll this out globally in the future, but for now our partnership is limited to Thailand only. “
Head of Leasing at BMW Thailand, Björn Antonsson, said the company has been actively monitoring the progress of decentralized technology and different use cases over the years. Antonsson hopes that integrating blockchain technology into day-to-day operations will reduce manual bureaucracy and improve business efficiency and transparency.
Automakers have been interested in decentralized technology for some time, and BMW has been involved in the technology since 2018. BMW first used blockchain technology to track its cobalt supplies to ensure products were mined and delivered ethically. German automaker Mercedes is also actively using NFTs and cryptocurrencies as promotional tools.
Italian car manufacturer Alfa Romeo has used blockchain technology to track the history of cars. Ferrari has also reached an agreement which could see the integration of NFT.